ten steps to the circle of wealth system sales … step circle of wealthcircle of wealth™ ™...

Ten Steps To

The Circle of Wealth® System

Sales Process

© 2007 MoneyTrax, Inc. All Rights Reserved

Circ

le o

f Wea

lth™

Circ

le o

f Wea

lth™

Syst

em S

oftw

are

Mod

ules

Syst

em S

oftw

are

Mod

ules

Tax

Mt

Mas

ter

Spen

ding

G

ame

Tool

Box

Circ

le

Talk

Talk

Qua

lifie

dPl

ans

Mor

tgag

eM

aste

r

Circ

le

Talk

Inst

antly

sho

w th

e im

pact

of c

hang

es in

sav

ing,

rate

s of

re

turn

, spe

ndin

g, in

flatio

n, a

nd re

tirem

ent d

ate

on y

our

pros

pect

's fu

ture

.

•Ill

ustra

te w

hat m

akes

you

uni

que

•Ill

ustra

te th

e m

any

form

s of

wea

lth tr

ansf

ers

•Fo

cus

is p

roce

ss, n

ot p

rodu

ct

TM

tQ

lifi

dS

di

•C

omm

unic

ate

wha

t you

do

•W

hy m

aste

ring

your

mon

ey is

so

impo

rtant

•Pe

rson

aliz

ed, v

isua

l pre

sent

atio

n

Tax

Mas

ter

Tool

Box

Mor

tgag

e M

aste

rQ

ualif

ied

Plan

sSp

endi

ng

Gam

e

Easi

ly c

omm

unic

ate

the

follo

win

g co

ncep

ts:

•Com

poun

d in

tere

st

•Inc

reas

ing

tax

•Fin

anci

al c

alcu

lato

rs

and

over

100

ca

lcul

atio

ns

•Poi

nt o

f sal

e id

eas,

illu

stra

tions

and

Hel

p yo

ur c

lient

ans

wer

th

e fo

llow

ing

ques

tions

:

•How

muc

h sh

ould

I pu

t dow

n?

Hl

hld

I

Hel

p yo

ur c

lient

ans

wer

th

e fo

llow

ing

ques

tions

:

•Will

I hav

e en

ough

to

retir

e?

•How

long

will

my

Illus

trate

the

follo

win

g:

•Fin

anci

al im

pact

of

cont

ribut

ions

abo

veth

e co

mpa

ny m

atch

•Opp

ortu

nity

cos

t of

ta

xes

•How

to le

vel o

r fla

tten

your

taxe

s

•How

to re

duce

you

r t

illus

tratio

ns a

nd

docu

men

tatio

n

(i.e.

401

Con

do, F

ive

Min

ute

Pres

enta

tion

on

Life

Insu

ranc

e et

c.)

• How

long

sho

uld

I fin

ance

my

hous

e fo

r?

•Wha

t is

the

best

way

to

pay

off

my

hous

e?

•Whe

n sh

ould

I re

finan

ce?

•How

long

will

my

mon

ey la

st?

•Wha

t ass

ets

shou

ld I

spen

d do

wn

and

in

wha

t ord

er s

houl

d I

liqui

date

them

?

•Wha

t do

Qua

lifie

d Pl

ans

do?

Def

er ta

xes

and

. . .

•Im

porta

nce

of L

UC

(L

iqui

dity

, Use

and

C

ontro

l)ta

xes

•Opp

ortu

nity

cos

t of

term

insu

ranc

e

refin

ance

?

Also

incl

udes

add

ition

al

mod

ule

Mor

tgag

e N

et

Wor

th

•Tax

His

tory

Circ

le o

f Wea

lthis

a tr

adem

ark

of M

oneyTrax

, Inc

.

Ten

Step

Te

n St

ep C

ircle

of W

ealth

Circ

le o

f Wea

lth™™

Syst

em S

ales

Pro

cess

Syst

em S

ales

Pro

cess

1stIn

terv

iew

Step

1:

Ope

n En

ded

Que

stio

ns

Step

10:

Put

it a

ll to

geth

er

(Spe

ndin

g G

ame)

(Ste

ps 1

–5)

Step

2:

Circ

le

Talk

Step

9:

Talk

abo

ut

life

insu

ranc

e

Step

3:

Giv

e C

onfid

en-

tial

Que

stio

n-na

ire

Step

8:

Ask

whe

re

to p

ut th

e “fo

und

mon

ey”

naire

Step

4:

Expl

ain

Step

7:

Find

the

how

you

ge

t pai

d

Step

5:

Ref

erra

ls:

Thre

e th

ings

to

Step

6:

Rev

iew

C

onfid

en-

tial

Que

stio

n-na

ire

ith

Find

the

mon

ey

thin

gs to

lo

ok fo

rus

ing

the

“Pla

nner

Q

uest

ion-

naire

” 2n

dIn

terv

iew

(S

teps

6 –

10)

Circ

le o

f Wea

lthis

a tr

adem

ark

of M

oneyTrax

, Inc

.

© 2007 MoneyTrax, Inc. All rights reserved. For Producer Use Only

First Interview: Steps 1-5 (Timeframe is less than one hour)

Step 1: 10 Open Ended Questions (10 to 15 minutes)

The purpose of these questions is for you to find out if you want to work with this prospect and exactly what you will have to do to help them. 1. How did you hear about us and what do you know about our company? 2. What are you currently doing in preparation for your financial future? 3. What do you like most about what you are doing? 4. What don’t you like about your current financial position? 5. What would you like to see enhanced or improved? 6. Describe the ideal financial professional/financial strategy? 7. What’s been your past experience with preparing for your financial future? 8. What would you “ideally” like to accomplish with your financial strategy? 9. Tell me about your decision making process. 10. How would you like me to present my findings? I would like to take the next few minutes and share with you what I do so that you can see if what I do is what you are looking for. How would that be? (Open the Circle Talk)


Step 2: Circle Talk One - Accumulation (20-30 minutes)

Screen 1: Your money is finite Screen 2: Ways your Circle of Wealth can grow Screen 3: Accumulated $, 1-10, illustrate the shortfall Retirement: Ready or Not: illustrate current position Rate of Return: focus of most advisors Save More: save for screen 13 Work Longer: no one is interested in this option Spend Less: show maximum amount available Lifestyle $ Transferred $ (Unknowingly and Unnecessarily) Screen 4: Opportunity Cost (core economic principal) Screen 5: Major Wealth transfers: illustrate only one or two

Screen 6: Capital is Critical (be your own bank)

Screen 7: Strategies of the Game: Tic Tac Toe Screen 8: Clubs vs. Swing Screen 9: Product vs. Process Screen 10: Risk Screen 11: Transferred Money Impact of finding transferred money Screen 12: Bucket story Screen 13: Financial Prescription (How much should you be saving?) If I can find the money will you save it? On a scale of 1-10 how does what I do…


Circle Talk Two: This presentation is very similar to Circle Talk One except that it is designed for those who are near retirement or currently retired.

Step 3: Two-page Confidential Questionnaire (two minutes)

Give the prospect the questionnaire and ask them to complete it before your next meeting. This should not take them more than 10 minutes to complete. You are just looking for an overview of their finances and will request the documents you will need at a later time. Do not fill this out for your client. You do not get paid to fill out this questionnaire. You get paid to sell.

Step 4: Explain how you get paid (two minutes)

Two ways: Commissions and Referrals (golf analogy) Fee-Based

Step 5: Referrals: Three things I am looking for in a referral (five minutes)

1. Friendly 2. Responsible

a. Married b. Happily Married c. Children

3. Serious about their money

End of 1st interview


Second Interview (Allow one to two hours)

You will probably not need the full two hours but you want to make sure that your prospect does not have to get up and leave in the middle of your presentation on how to find the money. Take your time and make sure they understand every point you are trying to make.

Step 6: Planner Questionnaire (15-20 minutes)

Review of the Confidential Questionnaire using the “Planner Questionnaire”. The Planner Questionnaire will give you additional open ended questions to ask in the review of the information in the two page questionnaire. You need to know, not only the numbers, but how they got to their current financial position.

Step 7: Find the Money - “Working on the swing”

Always start at the place where the client is transferring away the most money and the area that will have the biggest impact. In addition, you want to consider the money that will be easiest to get.

A) Mortgage: Mortgage Master will help you find money when you see where

your prospect: • Can cash out to pay off non-deductible debt • Is prepaying principal payments • Is considering putting more than minimum down • Currently has less than a 30-year mortgage • Has a current loan rate higher than refinance rate • Is interested in saving taxes • Could lower their payment by refinancing • Can eliminate PMI (private mortgage insurance) • Has equity from appreciation (rules apply) Note: The Mortgage Master is concerned with cash flow not cash out.


B) Taxable Accounts: Tax Master uncovers money being lost from compounding interest in taxable accounts. 1) CIT Presentation: Compound Interest Tutorial

This presentation allows you to illustrate the lump sum necessary to cover an increasing tax stream from a taxable asset. It helps you convert taxable assets to tax favored accounts like annuities and life insurance.

2) IFR Presentation: Three ways to pay tax - Increase, Flatten, Reduce

You can illustrate: � Moving all the money � Moving earnings only � Moving principal and interest � Paying taxes out of Lifestyle � Subtracting taxes from withdrawal

3) Pie Presentation: Buy term and invest the difference

You must be able to illustrate: � Tax � Opportunity Cost on the Tax � Cost of Term insurance � Opportunity Cost on Term insurance � Capital Gains Taxes

C) Qualified Plan contributions above the company match

You must be able to illustrate: � The fundamentals of Qualified Plans � Qualified Plans defer the tax and the tax calculation � The potential return on Qualified Plan accounts � The value of the company match � the impact of a one dollar contribution to a Qualified Plan


D) Expenses

Helping your client eliminate all non-deductible debt should be a major focus of your planning process. You should be able to illustrate the: � Cost to finance cars � Cost of credit cards � Opportunity cost on term insurance � Opportunity value of increasing ones auto deductible � Opportunity value of increasing home deductible � Necessity of owning an umbrella policy � Necessity of having current Wills and Trusts � Necessity of owning all the disability insurance you can get

E) Lifestyle Money

Last alternative is for your client to reduce lifestyle. While it is our desire to find the money in the above places without it dramatically affecting the client’s lifestyle this is not possible with every prospect. Unfortunately, many will not be able to make it financially if you do not address this area.

Step 8: Where to put the money? - “Picking out the clubs”

Now that we have found the money where would you think would be a good place to consider parking it that will give you everything you are looking for? First let’s talk about where you have been putting it.

Pay off your home (Mortgage Master) Qualified Plan (ToolBox) Mutual Funds (Tax Master) Stock (Spending Game) Real Estate (Spending Game) CD’s, Money Market (Tax Master, IFR Tutorial) Bonds (Tax Master, IFR Tutorial)

You have the power now to be able to discuss the pros and cons of where would be the best place or places for them to put their money. Simply go to the appropriate module to illustrate the truth about how their money would perform in that arena.


Accumulation vs. Distribution (ToolBox)

Accumulation (best to least valuable): This tool will allow you to get a picture of how your prospect sees the financial world. There are no right or wrong answers.

Distribution (least valuable to most): This tool is designed to allow you to communicate the importance of having a strategy of spending the assets they have accumulated. You have to know the rules.

The distribution conversation is to be used when you are describing to your client how you see liquidating their assets. This is usually done in Step 10 with the Spending Game.

Permanent Life Insurance comes with a bonus – Net Death Benefit.

Step 9: It is now time to talk about Life Insurance (Three Step Process)

Insurance is an important part of your total financial plan and I would like to discuss with you my thoughts on this issue. I look at life insurance very differently from most agents and advisors. Most people would say that life insurance is a “need” product. I believe it is a “want” product, let me explain: 1. Needs vs. Wants Discussion (COW Tales, Volume 4)

� Cars � Home � Education for children

Life insurance is the only product that will guarantee that what you want to happen will happen.

How long will the proceeds last? (ToolBox/Insurance) This is what you have, is it what you want? How much is enough? (ToolBox/Insurance) Let’s calculate how much insurance you would “need” to accomplish what you “want”.


How long will the proceeds last? (ToolBox/Insurance) Plug in the client’s new number to how much insurance they want and illustrate how long that amount will last. What does this say to you? You can not leave someone rich from insurance. If you bought all they will issue it is not going to be enough because of inflation. I have one question. How much do you want?

Client now wants all the insurance the company will issue but they still have one major concern, “How much will it cost?” 2. Five-Minute Lesson on Life Insurance (ToolBox/Insurance; COW Tales, Vol. 5) Your prospect has a belief system about life insurance. The five-minute lesson will allow you to communicate the truth about the product. When they understand it, they will want all they can get and they will want to put in all they can. MEC Policy: Maximum Efficient Contract


3. Building Your Personal Circle of Wealth® System (ToolBox/Insurance) Illustrate how a life insurance policy can be used to set up a system to accomplish one’s financial goals and desires. Process not Product. The Swing not the Clubs.


Step 10: Putting it all together - The Spending Game

Step 10 involves the Spending Game which is an advanced tool and beyond the scope of the basic training school. We will introduce this tool to you in the basic training class but this will be only a brief introduction. The Spending Game allows you to:

� Look at your client’s assets all on one page � Develop a plan for accumulation and distribution � Illustrate diversification strategy � Illustrate your asset allocation model

Annual Reviews

You have more than enough ammunition to last a lifetime with any client. You do not need to feel that you have to show them everything at once. Get the savings process started and come back to some of their less pressing problems at another time. As your client becomes more and more educated about the areas of their finances that can cause wealth transfers they will come back to you to help them with their swing. The Circle of Wealth® system is designed to help you communicate more effectively with your clients. It is a system written for the client. The wisdom you share, learn and communicate through the Circle of Wealth® system will profit you and your clients. Always remember: Wisdom without compassion is arrogance. Be kind and compassionate with the wisdom you impart.


Additional Educational Opportunities

Audio Visual Training CDs: These CDs are made to be viewed on your computer and will walk you through each and every program step-by-step. They are designed to help you become familiar in the operation of the software and learn the many different functions available. These tools are a must to mastering the software delivery. We suggest that you work your way through each training CD twice beginning with the Circle Talk. Next would be the Mortgage Master or Tax Master and then the ToolBox. The ToolBox has over 100 different calculators which will take you some time to learn so get started now and you will soon develop your favorites.

COW Tales: These are CDs that you can listen to in your car on the way to work, which will help you to incorporate the stories and concepts into your own words. Repetition is the mother of learning and by listening to these over and over we know you will master the delivery of the Circle of Wealth™ system much faster. The initial set contains 4 volumes. After purchasing the initial set you will want to add additional volumes to your personal library to continue developing your communication techniques.

Two-Day Basic Training Classes: We recommend that you attend at least two of these classes during your first year. The first time you attend you may be overwhelmed a bit but have the confidence to make a real difference in your presentations. The second time will enhance your learning and solidify your convictions of what you already know to be true. Each time you come you will learn something new. There is a 50 percent discount on MoneyTrax Online University (MOU) for attendees.

MOU: MoneyTrax Online University: This is an online training course. It is not designed to take the place of the Two-Day Basic Training but will certainly enhance your future study of the system. We have found that many producers learn better a little at a time rather than in one setting. The classes are listed on our web site and each lesson covers about 30 minutes of sales training. Each lesson is archived so that you can review them over and over until you have mastered that session. Broadband Internet access required.

MOU Discount: Everyone who has attended one of our Two-Day Basic Trainings can purchase this valuable training at half price. You may purchase this at the Two-Day Basic Training session or anytime thereafter at the discounted price. Attention General Agents: The MOU training program is especially valuable to General Agents who are building an agency. Simply enroll your agents and let us teach them the system online on their time. You can then review their level of knowledge and direct them to the lessons necessary to learn what they need to know. Not only does this provide training for your producers, but delivers a consistent message to everyone and allows you to build a uniform culture in your agency.

Spending Game CSI (Case Study Interface): This is an online training program similar to MOU but designed specifically to help you learn and utilize the Spending Game module. This program will give you hands on participation in learning the many different features and functions of the Spending Game, our most valuable tool. A new session is posted every other


week along with a video walk-through on how to set up the initial case, as well as strategies used to enhance the clients present financial position. Norman Baker heads up this training program and members have the opportunity to ask him questions on how to utilize this module, as well as submit cases for review. Since we believe distribution and discussion on how to spend ones money is going to be the future of our industry, this tool is a must for the serious advisor. At retirement ones greatest concern is “running out of money”. This tool allows you to paint the picture you see in your mind on how your client will spend their assets most efficiently. The focus has been accumulation for the client’s entire financial life prior to retirement and now they are in new territory. Your ability to help them in these uncharted waters will keep you in the coveted position as a trusted advisor. Broadband Internet access required. Mentor Program: This is our flagship training program that will allow you to have Don Blanton the creator of the Circle of Wealth™ system to personally mentor you for one year. You will meet with him four times during the year for two days of intense training. You will have an accountability partner to work with you to keep you motivated and committed. You will have access to Don to discuss cases on which you are having difficulty. The Mentor Program also includes the following:

Access to MOU: MoneyTrax Online University Access to MOU2 designed especially for the mentoring program Access to the Spending Game CSI Four two-day training sessions with Don

The mentoring program is designed for those who wish to take their practice to the next level and become masters of the Circle of Wealth™ system. We guarantee that each participant in this program will do a minimum of $250,000 of life premium. If you do not generate $250,000 of life premium you can attend again at no additional charge until you meet this production level. The educational experience is enhanced greatly from the interaction and knowledge of the other members of the group. The group size is limited to allow for interaction and questions and there are only 100 seats open throughout the course of the year. To get your name on the waiting list for the next mentor group opening go to our website and look for the mentoring program training. MoneyTrax Instructor: An opportunity for you to become a Qualified Mentor. The Mentor Program is designed to help achieve the level you want for your practice but from time to time we have someone in the Mentor Program who would like to help us make MoneyTrax even better by becoming a Qualified Mentor. One part of our company’s continuation plan is to allow those who have successfully completed our Mentor Program to mentor others. Qualified Mentors will be able to mentor other new Circle of Wealth™ users. There will be compensation for the mentors who participate while at the same time accelerating their learning and communication skills. It is often the case that the teacher learns as much or more than the student. If you think you would be interested in this opportunity be sure to let us know.

ten steps to the circle of wealth system sales … step circle of wealthcircle of wealth™ ™...

Documents